Affordable housing
A compelling opportunity to address the undersupply and growing demand for homes, delivering a positive impact
Our affordable housing portfolio is comprised of social and affordable rent as well as Shared Ownership homes. We have been investing in Affordable Housing since 2018, providing both social housing and Shared Ownership homes across the UK. Since then, we have invested £1 billion and have over 8,000 homes in operation or development.
145,000 affordable homes need to be built every year to address domestic housing needs – the UK has delivered just c.50,000 p.a. over the last 10 years1.
Visit the L&G Affordable Homes website to learn more.
Delivering housing at scale
As a leading direct investor, developer, and operator of residential property, L&G has one of the largest and most diverse housing platforms in the UK2.
We are uniquely placed to tackle the housing crisis and deliver the homes needed given our broad expertise – from investment management all the way through to the development and operation of assets.
We have successfully scaled up multiple operating businesses and delivered strategies across both equity and debt, in a range of tenures, including build-to-rent, single-family housing, student accommodation, later living, strategic land, and affordable housing.
Our commitment to investing in and delivering housing reflects the opportunity to potentially generate steady, inflation-linked returns while working towards positive social impact within local communities.
Case studies
Highworth Road, Shrivenham, Oxfordshire
- 78-acre site in Shrivenham, Oxfordshire
- High-quality residential development offering 2 & 3 bedroom homes designed to complement the neighbouring village
- 16 affordable rented homes to date
Case study shown for illustrative purposes only. The above information does not constitute a recommendation to buy or sell any security.
Greater Manchester Pension Fund partners with L&G to delivering more affordable housing
Investment strategies
In July 2024, we launched our L&G Affordable Housing Fund and, in January 2025 we received new commitments to invest in affordable housing nationally, raising a total of £510m to date.
The funds raised (as of January 2025) are expected to deliver approximately 3,500-4,000 homes. The Fund aims to positively impact hundreds of people's lives, focusing on ‘equity and affordability’ as its core social priority.
To learn more about the Fund, read the latest on our newsroom.
News and insights
Income and impact: Opportunities in affordable housing
Greater Manchester Pension Fund partners with Legal & General to deliver affordable housing in North West England
Meet the team
Ali Farrell
Fund Manager, Legal & General
Freddie Coleman
Director Private Markets Distribution, Legal & General
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Sources:
1. L&G, Delivering a Step Change in Affordable Housing Supply, March 2022.
*L&G Affordable Homes internal data.
2. L&G has invested £1bn in affordable housing since the business was established in 2018.
**L&G as at 31 December 2024.
Key risks
The value of any investment and any income taken from it is not guaranteed and can go down as well as up, and investors may get back less than the amount originally invested. The risks associated with each fund or investment strategy should be read and understood before making any investment decisions. Further information on the risks of investing is available from L&G's Fund Centres.
While L&G has integrated Environmental, Social, and Governance (ESG) considerations into its investment decision-making and stewardship practices, this does not guarantee the achievement of responsible investing goals within funds that do not include specific ESG goals within their objectives.